> For example I know a couple people who bought houses right before the bubble burst in '08. And? Unless they lost their jobs in the mean time, or made some v

> For example I know a couple people who bought houses right before the bubble burst in '08. And? Unless they lost their jobs in the mean time, or made some very very bad decisions with their mortgages, they are in all likelihood no longer upside down. A drop in the value of your home doesn't take money out of your pocket - you're still making the same payments, you just feel worse about it.